Questions & Answers
A penalty for delayed payment of rental cheque
I was late to pay my rent by 24 hours last month since I had a delay in salary payment but had the integrity to pay the money just a few hours after the cheque was bounced.
Today, I am getting a notice from the landlord to pay a fine of AED 500. I just wish to know if it's is legal according to the law.
Dear Questioner,
With reference to your inquiry, kindly be informed that you shall get back to the Terms & Conditions of your Tenancy Contract (even the Addendum - The Additional Terms & Conditions).
It is customary that the Landlords always mention a Contractual Clause stipulating upon a payment of a penalty (usually AED 500) whenever any of the Tenant's Cheques bounce.
If it's agreed upon as illustrated above, then it's his total right to recover that amount from you.
If not, then he has no right at all, and you shall discuss the same with him professionally.
Kind regards,
Sherif M. ElKhatib
Dear questioner,
It depends on the terms of the lease agreement signed between the parties.
In any case, the bounced cheque attracts several procedures and steps to be handled by the landlord and whether it is for one hour or 24 hours, it doesn’t change the fact that it occurred.
I see it legal to charge you the penalty if it is mentioned in your lease agreement.
Regards,
Ahmed Elnaggar
